August 28, 2013
For more information: Ellen Schloemer at (919)539-9092 or ellen.schloemer@responsiblelending.org.

New Fed Rule on Qualified Residential Mortgage: A Strong Step Forward

New mortgage lending rules proposed today by federal regulators take a big step forward in strengthening the U.S. housing market and economy.

In revised proposed rules defining “qualified residential mortgages” (QRM), regulators crafted standards that address key causes of the past housing crisis and will prevent future abusive lending. At the same time, the newly-proposed rule will protect access to credit for many homebuyers by not mandating downpayment levels.

Finally, the alignment of QRM with the Qualified Mortgage (QM) rule provides consistent regulation and helps all stakeholders to better comply with these important lending rules.

As the debate now turns to other housing reform issues, CRL calls for future policies to follow a consistent path on downpayment requirements.

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For more information: Ellen Schloemer at (919)539-9092 or ellen.schloemer@responsiblelending.org.

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About the Center for Responsible Lending

The Center for Responsible Lending is a nonprofit, nonpartisan research and policy organization dedicated to protecting homeownership and family wealth by working to eliminate abusive financial practices. CRL is affiliated with Self-Help, one of the nation's largest community development financial institutions.